HOLYOKE -- The Holyoke Geriatric Authority board of directors has had talks with a bankruptcy lawyer but that doesn't necessarily mean the financially troubled nursing home will file for bankruptcy, an official said Friday.

In fact, said Fred Glidden, chairman of the authority board of directors, the board at its meeting Monday plans to continue with business such as possibly appointing a seventh board member.

But, he said, discussion of bankruptcy given the authority's plight is a natural step.

"There's a lawyer that's come in to explain the whole thing. I told you straight out, I'm not interested and I don't think the board is interested. Is it something that could be possible way down the road after we fire all the arrows in our quiver? I'm not ruling anything out. But bankruptcy isn't something I'm thinking about right now. It's one of the things that has to be on the table," Glidden said.

Officials said in January a request for proposals to seek buyers for the authority would be issued, but Mayor Alex B. Morse said Friday night the city has refrained from that in light of the possibility of bankruptcy.

"We are exploring the consequences, if any, on the city if they do declare bankruptcy. After some research, receivership may be an option as well, or the state can choose to take it over if necessary. We continue to see interest from private nursing home operators," Morse said.

The facility at 45 Lower Westfield Road has had years of financial problems. Employees recently received paychecks four days late because the facility had insufficient funds in its bank account, Glidden said. Employees were paid Feb. 24, after Glidden said a payment from the state to reimburse the facility for costs had arrived, but were supposed to have been paid on Feb. 20.

In June, the City Council voted 11-3 to pay $146,973 in health insurance costs for retired authority employees because the authority was unable to pay the bill. The city in December 2011 paid $465,000 in authority pension costs dating back to 2008.

A combination of lower-than-needed government reimbursements for costs incurred in providing care and mismanagement have led to the authority's financial problems, officials have said.

The authority has 80 nursing-home beds and 80 day-care slots for elderly people. It is overseen by a board consisting of three people appointed by the City Council and three appointed by the mayor, with those six choosing a seventh member.

Board members are eligible for yearly stipends of $4,000 each.

Patricia C. Devine was the seventh member, and board chairwoman, until resigning Feb. 21. Glidden said the board in the past week has tried to solicit applicants for the seat and might vote to fill the seat at the meeting Monday at 5:15 p.m. at the facility.

The notice for the board meeting posted on the city website states the board will go into closed-door session for an "Update on future status of the (facility)." That doesn't appear to be a permitted reason for holding an executive session under the state Open Meeting Law. The law states a board can meet behind closed doors to:

• "discuss the reputation, character, physical condition or mental health, rather than professional competence, of an individual, or to discuss the discipline or dismissal of, or complaints or charges brought against, a public officer, employee, staff member or individual.:"

• discuss contract negotiations.

• discuss litigation.

• discuss deployment of security personnel or devices.

• investigate charges of criminal misconduct.

• consider the purchase, exchange, lease or value of real property if the chairman states that an open meeting may have a detrimental effect on the board's negotiating position.

• comply with federal grant-in-aid requirements, that is, money transferred from the federal government to a state or local agency or individual for a specific project.

• consider or interview applicants for employment or appointment by a preliminary screening committee if the chairman states that an open meeting will have a detrimental effect in obtaining qualified applicants.